The COVID-19 has severely affected all industries across the globe, but how has the pandemic affected real estate market?

Real estate market used to operate in a very traditional way, which required lots of face-to-face meetings with stakeholders, banks and lawyers. Lockdown and further social distancing measures posed a real threat to the real estate industry not just due to short term cash flow challenges faced by businesses but the change in costumer behavior and lifestyle in general.

However, despite of all the unfortunate consequences the pandemic has also opened up fresh opportunities for industrial and logistics real estate. While forecasts for capital and rental real estate have been revised down for the next year, industrial part of real estate market is very well positioned to meet the demands of the most resent trends and social demand to shift towards online retail.

On the other side, retail real estate sector runs the risk of becoming obsolete as the shift moves online and away from city centers and high streets. It will affect rental market in short term due to social distancing and other restrictions as well as in longer term with the consequences of employees working from home. It's very hard to predict at the moment how this will affect people in terms of incomes and consumption habits.

From a broader perspective, as we recover from the pandemic, there will be opportunities for developing and investing in commercial and residential real estate. Holdmar Holdings LLC is glad to offer a variety of investment plans for investments in commercial real estate for investors with various demands and ambitions.

Adam Walter
100 International Drive, Legg Mason Tower, 23rd Floor,
Baltimore, MD 21202